Fuel Management

Clean Fuel Rules Mean No Relief for Oil Prices in 2006

January 3, 2006
• by Staff

NEW YORK – Oil prices, which reached record levels in 2005, could rise even higher in 2006 as the United States implements clean fuel rules and world energy demand remains strong, according to Reuters. In 2006, tougher U.S. sulfur requirements for gasoline and diesel could cut supplies as refiners shut plants to revamp units and foreign suppliers find other markets with less stringent regulations.
New regulations from the U.S. Environmental Protection Agency require refiners to reduce sulfur content in gasoline starting Jan. 1, while ultra low sulfur diesel requirements will begin to be phased in from June. A recent Reuters poll of analysts predicted U.S. oil futures will average $57.34 a barrel next year from around $57 a barrel in 2005. Despite expectations of tighter supply and high prices, experts say demand growth will remain resilient.

Fuel Management

The multiple-year agreement specifies that WEX will provide Marathon Petroleum Corp. with sales and marketing resources to further drive Marathon’s retail growth. It follows an initial five-year deal between the companies.

The cost of gasoline has been on the rise this year. These higher gas prices could pose a direct threat to a fleet’s overall costs. Implementing technologies and considering alternative fuel vehicles could help curb costs.

ARI and WEX, Inc. are celebrating their long-running relationship with co-branded fuel cards for fleet customers of the fleet management company, the payments solution provider announced. The companies have been in business together for 25 years.

The national average price of a gallon of regular unleaded fell two cents to $2.95 for the week ending June 4 during a week that saw the first price decline since the middle of March, according to AAA. The decline followed a slight dip in oil consumption from a year ago.

WEX, Inc. has struck an agreement with the holding company of Shell Oil Products to issue Shell-branded fuel payment cards to commercial fleets starting later this summer, the Portland, Maine-based payment provider has announced.

The national average price of a gallon of regular unleaded jumped 12 cents to $2.93 over the past two weeks, ahead of the Memorial Day holiday and reaching the highest level for this holiday weekend in four years, according to AAA.

Fleetcor Technologies, Inc. will test blockchain technology as a way to modernize payments for its commercial fleet clients, especially across international borders, as part of a new initiative with Ripple, which has expertise in the technology, according to the company.

The national average gasoline price moved sharply higher for the week ending May 14, following the Trump administration's decision to withdrawal from an Obama-era nuclear deal and reimpose sanctions on the country.